Bernstein Violins

A Frank Discussion About Teacher Kickbacks

This is a difficult subject for those of us in this business who care about our customers being served in the best possible way. Undisclosed teacher kickbacks are illegal in Colorado, and among violin shops there is ongoing discussion about how to deal with the issue of unethical shops paying teacher "commissions" (calling is a commission does not change the illegal or unetheical nature of the kickback!)

Most people believe that the teacher is supposed to be your advocate when you are purchasing a bowed instrument, and that advocacy cannot be done neutrally if they are receiving a kickback from the shop that they send you to! Many people purchasing instruments are not aware of this practice, and they are shocked to find out that it is done.

There are a number of violin shops, and teachers as well, who are becoming more vocal about this matter, posting articles like this one on their online sites, and I encourage you to only work with shops who have a policy of not paying undisclosed teacher commissions.

In my shop neither disclosed nor undisclosed commissions are paid to teachers. Teachers are not in the business of selling bowed instruments, and players should not have to contend with artificially high prices that result from paying kickbacks (sometime as high as 30%!)

The teacher should be paid for their time by the beneficiary of their time, which is the student. If a teacher comes into the shop with the student to try instruments, it makes the process of choosing much easier and more efficient for all concerned, and in that situation I give the buyer a discount and encourage them to pay the teacher for their time so deservedly earned. This is a win-win for all concerned, not a loophole!

I only know of two other shops in Colorado who have a clear policy of not paying teacher commissions, and the two or three popular out-of-state shops that teachers here seem to like, definitely do not have a statement that they do not pay commissions to teachers (cautiously and awkwardly worded, but you get the idea.) This is all very quietly done, and the out-of-state shops are particularly savvy at feeling out the teacher for what they expect. They don’t want to insult the ethical teachers (most) who do not take kickbacks, but they want to compensate the ones who do, so they don’t loose the business.

In all likelihood your teacher is not taking a kickback. Regardless of that, I encourage all people shopping for a bowed instrument to visit the local, ethical shops first. If you can’t find what you want locally, then my request would be that you go to an out-of-state shop with a written no-kickback policy.

I wish to add that some of the worst offenders are university professors teaching instrumental performance. I have on any number of occasions had performance majors in my shop who are now completely confused because their professor is advocating for an instrument that is not the best for them. I have seen students no longer trusting their own judgement due to bad advice, and some who suspect that the professor is taking a kickback, but they are afraid to go against his/her wishes due to the power that they hold over the student. And these are usually $10,000 to $30,000 instruments, so there is a lot at stake!

Thank you for taking the time to read about this somewhat uncomfortable topic that many of us in the bowed instrument business would like to see discussed more openly.

At your service, Reed Raphael Bernstein.